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Personal Property Tax Reduction
Reduce
Personal Property Taxes...Increase Profitability
 What should I know about Personal Property Tax?
Personal property tax is a tax imposed by the county on capital machinery,
furniture, equipment and other tangible assets. Many companies incorrectly
think of personal property tax as a fixed expense. Because it is not
fixed, the burden of this tax can be significantly reduced--resulting
in increased profitability. But, to realize the greatest benefit, you
need advice from experts in the tax field.
Isn't my Accountant the expert?
Usually not. Your accountant is the expert when it comes to preparation
of your financial statements and/or corporation tax returns. The personal
property tax return, however, is an entirely different matter.
The laws and guidelines that govern this highly specialized tax vary
from state to state and even county to county. A misconception persists
that the basis of reporting fixed assets for the personal property tax
return must be the same as the basis for the accounting and/or corporate
tax returns. In reality, there is a "third" basis of reporting, dictated
by the state and county guidelines, which applies only to the tax on
personal property.
At Property Tax Advisory Group, the focus is helping companies decrease their personal property tax
bill and transfer the savings directly to their bottom line. Historically,
PTAG has successfully found savings in more than 90 percent of the cases
examined. And these savings are effective not only in year one, but
over the assessable life of the asset.
Technical tax experts at Property Tax Advisory Group are part of a select
group that has earned the Senior designation from the American Society
of Appraisers (ASA) in the field of property taxation. Their expertise
includes thorough understanding of tax codes as they vary from state
to state and county to county.
The technical analysis used by Property Tax Advisory Group converts the accounting and fixed-asset
records to the personal property tax basis in accordance with state
property tax guidelines. The result may be a lower basis for tax assessment
and, consequently, lower personal property tax. The long-term effect
is total cost management of personal property tax expense.
What if my Accountant is currently preparing my personal property tax
return?
You have nothing to lose by allowing us to do an analysis. At minimum,
your current procedures will be validated. Alternatively, tax savings
will be achieved and realized over future assessments.
How does the service work?
PTAG's service is simple to use.
To perform a complete analysis, all we require are:
- prior year's personal property tax return
- asset listing
- most recent tax bill
PTAG will complete the following:
1. Review of assets that are reported as personal property. Frequent
changes in property tax codes may validate exemptions or deletions from
your personal property filings.
2. Reclassification of assets to a shorter economic life, creating
faster depreciation for property tax purposes. Opportunities to obtain
more rapid asset depreciation are greater than ever, due to the escalating
use of computer-driven equipment in the workplace.
3. Analysis of the market value of major assets Our experience
has shown that the depreciation factors used in many taxing jurisdictions
may not be reflective of true market value, resulting in over-assessment.
What is the Cost?
Property Tax Advisory Group's compensation is based solely on a flat contingency fee. This means
absolutely no risk to you. If you do not benefit, there is no charge for
our analysis. When we do find savings, you will not receive a bill until
the reduction has been approved by the taxing authorities and the assessor
has accepted the return. In the unlikely event of an appeal, PTAG is responsible
for any costs associated with the defense of its filing. We also provide,
at no charge, representation of and consultation with the client.
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